Strategic Perils of Outsourcing : Sourcing Strategy and Product Positioning

Material type: 文書・図像類

Author: Pan, Congほか

Publisher: The Institute of Social and Economic Research, Osaka University

Publication date: 2016-10-25

Material Format: Paper

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Note (General)：: Although outsourcing input production has long been considered as an important approach to help downstream manufacturers enhance structural efficiency...

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Paper

Material Type: 文書・図像類
Title: Strategic Perils of Outsourcing : Sourcing Strategy and Product Positioning
Author/Editor: Pan, Cong
Matsushima, Noriaki
Author Heading: Pan, Cong
https://nrid.nii.ac.jp/nrid/1000030807425
Matsushima, Noriaki
https://nrid.nii.ac.jp/nrid/1000080334879
Publication, Distribution, etc.: The Institute of Social and Economic Research, Osaka University
Publication Date: 2016-10-25
Publication Date (W3CDTF): 2016-10-25
Periodical title: Institute of Social and Economic Research Discussion Papers
No. or year of volume/issue: 983
Volume: 983
Pages: 1-23
Text Language Code: eng
Subject Heading: Outsourcing
Product differentiation
Suppliers
Hotelling model
Target Audience: 一般
Note (General): Although outsourcing input production has long been considered as an important approach to help downstream manufacturers enhance structural efficiency, we provide a theoretical explanation for why outsourcing may negatively affect downstream firms’profitability.We consider a duopoly model wherein downstream manufacturers endogenously determine their input sourcing and product positioning strategies. We show that when inputs from outside suppliers are not perfectly compatible with downstream manufacturers’requests, outsourcing causes downstream manufacturers to pursue aggressive product positioning behavior, leading to the prisoner’s dilemma—even though both downstream manufacturers could be better off producing inputs in-house, they may still choose outsourcing.
References (URI): URI
http://www.iser.osaka-u.ac.jp/library/dp/2016/DP0983.pdf
Data Provider (Database): 国立情報学研究所 : 学術機関リポジトリデータベース（IRDB）（機関リポジトリ）
https://irdb.nii.ac.jp
Original Data Provider (Database): 大阪大学 : 大阪大学学術情報庫　桜華